If a Bakery Raises the Price of Its Bread by 11

Question 54
Multiple Choice

If a bakery raises the price of its bread by 11 per cent and the quantity demanded decreases by 11 per cent, then the demand for its bread is ________ and the bakery's total revenue ________. A) unit elastic; increases B) elastic; does not change C) unit elastic; decreases D) unit elastic; does not change E) inelastic; does not change